Unit Rate Build-up Calculator
Build up an all-in unit rate from labour, material and plant.
Inputs
Result
Formula
| Direct cost | labour + material + plant |
| Overheads | direct × rate |
| Profit | (direct + overheads) × rate |
| Levy | direct × rate |
| Pre-tax | direct + overheads + profit + levy |
| Tax | pre-tax × rate |
| All-in rate | pre-tax + tax |
Labour 50, material 200, plant 30 at 15% overheads, 8% profit, 3% levy and 9% tax: 280 direct, 42 overheads, 25.76 profit, 8.40 levy, 356.16 pre-tax and 388.21 all-in.
FAQ
Why is material such a large share of the rate?
Because material cost cannot be compressed while labour and overheads can. In civil works material runs 55-70%, in finishes over 70%, and in services around 60% once equipment is counted. A high material share means price-volatility risk and calls for an escalation clause; a high labour share means controlling duration and productivity.
What profit margin is normal?
Main contracting 5-8%, finishes 8-15%, services 6-10%, and specialist packages 15-25% as technical barriers rise. Below 3% there is no buffer for risk — one rework or a month of delay wipes it out. Above 20% will not win open tenders without exclusive technology or qualifications.
What do overheads actually cover?
Site management salaries, office costs, travel, temporary facilities such as accommodation, canteen and toilets, utilities, testing, insurance and a share of head-office overhead. The items most often missed are temporary facilities and testing, which on a medium project run 1.5-3% of turnover. Bid at 5% and the site budget simply will not cover it.
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Results are estimating aids only and are not a design basis. Construction and final accounts must follow the drawings, the applicable standards and an approved method statement. Anything affecting structural safety, shoring or falsework must be checked by a suitably qualified engineer.